Combining home insurance with auto insurance offers a clever money-saving strategy. You can save money and still get the coverage you require. To maximize your savings, finding the ideal company to bundle both insurances is crucial.
Who has the best home and auto bundling discount?
State Farm provides the largest home and insurance bundling discount, saving customers an average of 23% per year, as per our analysis. On the other hand, USAA offers the lowest bundling discount, with savings of 6% per year on average.
Our research reveals that the typical auto and home insurance bundling discount is 14%. When policyholders bundle their home and auto coverage, they can save an average of $466 per year.
Average home and auto bundling discounts
| COMPANY | AVERAGE ANNUAL SAVINGS FOR BUNDLING HOME AND AUTO INSURANCE | AVERAGE % SAVINGS FOR BUNDLING HOME AND AUTO INSURANCE |
|---|---|---|
| State Farm | $787 | 23% |
| Farmers | $732 | 18% |
| Erie | $535 | 15% |
| Nationwide | $516 | 15% |
| Allstate | $497 | 15% |
| American Family | $486 | 18% |
| Travelers | $484 | 11% |
| Progressive | $226 | 7% |
| Auto-Owners | $214 | 10% |
| USAA | $185 | 6% |
| Average | $466 | 14% |
Who has the cheapest home and auto insurance bundle?
Auto-Owners offers the most affordable option for bundling homeowners insurance and auto insurance. Our analysis indicates that the average annual cost for this bundle through Auto-Owners is $1,878, which is significantly lower, by 31%, than the national average of $2,730.
It is essential to consider the actual savings amount when comparing home and auto insurance bundles, rather than solely focusing on the bundling discount percentage. The largest bundling discount may not always translate to the lowest overall rates.
Take Auto-Owners and State Farm as an example. State Farm offers a bundling discount of 23%, whereas Auto-Owners provides a modest 10% discount. Surprisingly, the final price for the combined coverage with Auto-Owners is the most competitive among the companies we compared.
While seeking the best homeowners insurance and auto insurance bundle, it’s beneficial to shop around and consider various factors. These factors include not only multi-policy or bundling discounts but also the price of your home, your location, the type of car you drive, and your credit and driving history. A thorough evaluation will lead to a tailored and cost-effective insurance solution for you.
Cheapest home and auto bundle quotes
| COMPANY | MONTHLY COST FOR HOME AND AUTO BUNDLE | ANNUAL COST FOR HOME AND AUTO BUNDLE |
|---|---|---|
| Auto-Owners | $157 | $1,878 |
| American Family | $182 | $2,178 |
| State Farm | $216 | $2,587 |
| USAA | $219 | $2,630 |
| Erie | $220 | $2,645 |
| Nationwide | $221 | $2,652 |
| Progressive | $231 | $2,777 |
| Allstate | $248 | $2,978 |
| Farmers | $288 | $3,458 |
| Travelers | $338 | $4,052 |
Pros and cons of bundling home and auto insurance
Should you bundle home and auto insurance? The decision comes with its own set of pros and cons. Bundling could be a great choice if you want to save money on both home and auto insurance. It may also appeal to you if you prefer the convenience of dealing with a single company for all your insurance needs. There might be additional discounts and incentives you can take advantage of when switching to a new insurance provider. However, before making a decision, it’s crucial to conduct thorough research to ensure bundling is the right option.
Keep in mind that bundling doesn’t always guarantee significant cost savings, particularly if your current insurance company already offers competitive rates. Sometimes, switching to a new insurer with a bundling offer might actually lead to higher overall costs. Our analysis shows that bigger discounts don’t necessarily translate to more savings. Moreover, bundling might result in giving up certain coverages or benefits you currently enjoy. For instance, moving to a new insurer could lead to unexpected surprises like banned dog lists or the lack of guaranteed replacement coverage . To make an informed choice, take the time to compare all available options and determine which insurance company best suits your needs.
How to save money when bundling home and auto insurance
To save money when bundling home and auto insurance, start by evaluating your current coverage.
- Evaluate how much you’re currently paying for home and auto insurance.
- Assess the level of coverage you have with each policy.
- Consider the discounts you’re currently enjoying.
- Examine how your driving and credit history may affect insurance rates with a new company.
- Use your answers as a framework for shopping around and comparing bundling discounts.
- Obtain multiple quotes to get a general idea of your potential savings.
- Work with these numbers to understand how much you’re likely to save.
- Beyond bundling discounts, explore other opportunities to save on insurance.
- Check for new home discounts, first-time customer discounts, and safe driver discounts.
